Chinese export rapidly shrinks

According to data of the General Customs Directorate of China, export volumes fell by 7.7% in 2016.

It is worth noting that such a sharp decline in export has not been seen since the crisis of 2009.

The Chinese export volumes totaled $2.09 at the end of 2016, thereby an accumulated drop in export was 15.2% in the last two years.

According to experts, an anti-globalization is gaining momentum around the world. China has become the main victim of this trend and a weak renminbi will not be able to change this situation for the better.

According to the projections of analysts polled by Reuters, a further reduction of Chinese export cannot be avoided considering the new US president’s plan to return production back to the US and introduce high duties on Chinese goods.

According to Capital Economics’ economist Julian Evans-Pritchard, the current situation shows that the Chinese economy is a colossus with feet of clay, which, in addition to a trade war with the United States, is threatened by a real estate bubble and debt crisis.